Liquidity Advisory Services
Objective: Assist in improving an organization’s liquidity and ensuring that cash flows unimpeded.
- Leader Navigational Coaching: Guide leaders through entire business readiness and operational processes preparing the Company for an eventual liquidity event, during a business sale process and through handover/integration
- Operational and Financial Readiness Assessment: Strategically assess all financial aspects, which include assets and/or real property, to determine optimal outcome for client
- Short and Long Term Liquidity Planning: Strategically discuss and mitigate short and long term tax implications and assist with suggesting limited liability consequences
- Investor Introduction: Meet with and/or introduce investors, private equity firms and other venture capital organizations to be considered as potential acquirers or centers of influence
- Purchase Offer Review: Review purchase offers and provide opinion or negotiation alternatives
Liquidity is essential for the operations and sustainability of any organization, as it enables the organization to meet its short-term financial obligations and ensure that it can fund its ongoing operations and strategic initiatives. Growing businesses require effective cash management to support their growth. Liquidity planning and management ensures that any organizational emergency does not impede the success and progress of the organization.
Leader Navigational Coaching
Navigational coaching can be a valuable tool when tackling liquidity challenges, as this approach provides leaders with a personalized and interactive framework for addressing their organization’s unique needs and circumstances. Leaders can tap into the experience and guidance of Board Developer’s leading experts to develop tailored strategies and action plans to improve their organization’s liquidity capability.
Operational and Financial Readiness Assessment
Operational and Financial Readiness Assessment is an essential component of liquidity management. It provides organizations with a comprehensive understanding of their current liquidity position, and helps them to identify potential risks and opportunities. A Board Developer guided Operational and Financial Readiness Assessment can help organizations to make informed decisions about their liquidity management strategies, and can support in developing a more effective and efficient liquidity management framework.
Short and Long Term Liquidity Planning
Having a well-defined short-term and long-term liquidity management plan ensures that the organization’s liquidity resources are managed effectively. These plans need to take into account the organization’s financial, operational, and strategic priorities, as well as the potential risks and opportunities related to liquidity. Board Developer helps organizations to identify key drivers and impediments to liquidity, and provide guidance on the matters that require both immediate and long term action.
Investor Analysis and Introduction
The goal of investor analysis is to identify investors that have a strategic alignment with the organization’s goals and objectives, and that have the financial resources to support the organization’s liquidity needs. With the right guidance from a professional team like Board Developer, finding and engaging with the right investors is done quickly and with minimal risk to an organization’s short and long term liquidity plans.
Purchase Offer Review
A purchase offer review ensures that the organization has the necessary liquidity resources to pursue a potential investment or acquisition, without risking its short-term financial obligations or operational sustainability. The review should provide an assessment of the potential liquidity requirements associated with the transaction, and help the organization to identify potential financing and liquidity risks that may impact its short-term liquidity position in addition to tax implications. Board Developer aims to coach leaders on the necessary skills to handle a purchase offer review, quickly and effectively.
The need for liquidity planning arises when an organization faces challenges in managing its cash flow effectively. This can include difficulties in generating sufficient cash from operations to meet its financial obligations, or the need to manage short-term or long-term debt effectively. A professional team like Board Developer guiding your organization’s steps can make all the difference when trying to ensure your organization’s long term sustainability and success.
- Guide owner/founder through entire business readiness and operational processes preparing the Company for an eventual liquidity event, during a business sale process and through handover/integration
- Provide CEO business coaching 1:1 to assist in the navigation through potential obstacles and/or trying times
- Assist in any potential sensitive managerial/leadership issues that may arise
- Assess operational and financial readiness
○ Strategically assess all financial aspects, which include assets and/or real property, to determine optimal outcome for client
○ Establish, lead and/or coordinate external independent services to provide Quality of Earnings report
○ Assess commercial real property and/or buildings to determine if these items may or may not convey based upon financial short and long term analysis
○ Coordinate real estate appraisals, as appropriate - Review or lead in 3 yr. strategic plan and initiatives to support future business case
○ Work with Company to devise strategies aimed at improving the overall value of the organization
○ Work with business and finance team reviewing/developing 3 year projections - Strategically determine best financial short and long term planning for Principal of Company
○ Establish lead and/or coordinate corporate and individual tax strategies with independent tax/public accounting firm
○ Introduce personal investment bankers for post sale investments
○ Introduce tax, estate and investment attorneys as needed
○ Strategically discuss and mitigate short and long term tax implications and assist with suggesting limited liability consequences
- Assist in sourcing all necessary additional resources to ensure transaction success
○ Oversight of the entire relationship between client, the investment banker and any additional resource being used throughout the process
○ Lead relationship with Broker or any other firm that may also be representing Company throughout this engagement to reduce distractions to running the business - Review marketing materials Broker will be presenting to potential purchasers for accuracy and comprehensiveness
- Meet with and/or introduce investors, private equity firms and other venture capital organizations to be considered as potential acquirers or centers of influence
- Review purchase offers and provide opinion or negotiation alternatives
○ Financial analysis of best post tax optimal plan for Principal
○ Provide independent analysis of bids/sale price outcomes with pros/cons - Provide leadership and direction to perform due diligence on potential purchasers
- Determine best consultative role for Principal and other leaders post-acquisition
- Provide leadership and direction to develop handover transition plan post-sale
